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1. Bogus check for more than the asking price, as you assumed, is my top guess as well. Or a paypal scam, he gets the domain and voids the transaction afterwards, telling paypal money was illegally transferred from his account.
2. A very popular one is the domain appraisal scam. They mail you with a very high offer for a shitty domain and tell you they'll pay you as soon as they get an appraisal from "Company X". Company X is their own appraisal service and of couse it costs alot, but many fall to it because they think spending a few hundred bucks and get a few thousand from the sale would still make it a good deal. Once you paid, you'll never hear again from the buyer.
3. He is an idiot and really wants the domain, but idiots tend to register shit and think they got something cool, they don't buy it at auctions..well, let me think twice, was it on Digital Point ? But I wouldn't risk it....
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